Discuss the implications of the identified trends for company performance.

This assignment task is a written report and analysis of the financial performance of one selected listed
company on the ASX in order to provide financial and investment advice to a prospective investor (No
restriction to choose one of the company which you used for your individual assignment).
This assignment requires to undertake an examination of a firm’s financial performance based on most recent
financial statements of the selected company mainly focusing on
? Liquidity (based on liquidity ratios)
? Capital Structure (based on capital structure ratios)
You are required to obtain the relevant information from chosen company annual reports and company web
site. You can access the company web site via www.asx.com.au.
To download the relevant please referee the Company code in ASX (see the following examples)

Attachments:

HC2091 Business Finance
HOLMES INSTITUTE
FACULTY OF
HIGHER EDUCATION
Assessment Details and Submission Guidelines
Trimester T3 2019
Unit Code HC2091
Unit Title Business Finance
Assessment Type 3
Assessment Title Group Assignment
Purpose of the
assessment (with ULO
Mapping)
Students are required to form a group of 3 to 4 members (Minimum of 3 and
Maximum of 4) to study, undertake research, analyse and conduct academic work
within the areas of business finance covered in learning materials Topics 1 to 10
inclusive. The assignment should examine the main issues, including underlying
theories, implement performance measures used and explain the firm financial
performance. Your group is strongly advised to reference professional websites,
journal articles and text books in this assignment (case study).
Weight 25 % of the total assessments
Total Marks 25
Word limit Not more than 2500 words
Due Date Registration of groups and chosen companies: 5 pm Friday, Week 7
Final Submission of Group Assignment: Midnight (23:59 pm.) Sunday, Week 10
Late submission incurs penalties of 5 (five) % of the assessment value per calendar
day unless an extension and/or special consideration has been granted by the
lecturer prior to the assessment deadline.
Page 2 of 7
HC2091 Business Finance
Submission
Guidelines
• All work must be submitted on Blackboard by the due date along with a
completed Assignment Cover Page. Please make sure that your group
member’s name and surname, student ID, subject name, and code and
lecture’s name are written on the cover sheet of the submitted assignment.
• The assignment must be in MS Word format, no spacing, 12-pt Arial font and
2 cm margins on all four sides of your page with appropriate section headings
and page numbers. When you submit your assignment electronically, please
save the file as ‘Group Assignment- your group name .doc’. You are required
to submit the assignment at Group Assignment Final Submission, which is
under Group Assignment and Due Dates on Black Board.
• Reference sources must be cited in the text of the report, and listed
appropriately at the end in a reference list using Harvard referencing style.
Submitted work should be your original work showing your creativity.
Students need to read and understand the Holmes Academic Integrity Policy
before they start any assessment. (Please refer section 4.3 Guide to
Academic Integrity p27 of the Holmes Student Handbook).
• Always keep an electronic copy until you have received the final grade for
the Unit. Please make sure that you submit the correct file. Any appeal
relating to submitting wrong files after the deadline will not be considered.
Page 3 of 7
HC2091 Business Finance
ASSIGNMENT SPECIFICATIONS
ASSIGNMENT TASK
This assignment task is a written report and analysis of the financial performance of one selected listed
company on the ASX in order to provide financial and investment advice to a prospective investor (No
restriction to choose one of the company which you used for your individual assignment).
This assignment requires to undertake an examination of a firm’s financial performance based on most recent
financial statements of the selected company mainly focusing on
 Liquidity (based on liquidity ratios)
 Capital Structure (based on capital structure ratios)
You are required to obtain the relevant information from chosen company annual reports and company web
site. You can access the company web site via www.asx.com.au.
To download the relevant please referee the Company code in ASX (see the following examples)
ABP Abacus Property Group
APZ Aspen Group Limited
AGL AGL Energy Limited
WES Wesfarmers Ltd
WOW Woolworths Group Ltd
Note: The above table gives you only examples and you are not asked to choose them for the analysis.
ASSIGNMENT STRUCTURE

Assignment structure should be as follows:
Title of the assignment
Example: Analysis of ABX Company Financial Performance
Group details and the contribution of each group member
You need to give full details of all the group members in your group including their names and student IDs.
Please make sure all the names written in the assignment are matched with the group created in
Blackboard.
To ensure that all students participate equitably in the group assignment and that students are responsible
for the academic integrity of all components of the assignment. You need to complete the following table
which identifies which student/students are responsible for the various sections of the assignment.
Assignment Section Student/Students
The above table needs to be completed and submitted with the assignment as it is a compulsory component
required before any grading is undertaken.
Page 4 of 7
HC2091 Business Finance
CONTENT OF THE ASSIGNMENT
1. INTRODUCTION
The introduction should briefly explain the purpose of the assignment, the selected company for analysis and
the type of analysis.
2. FINANCIAL PERFORMANCE ANALYSIS OF THE SELECTED COMPANY
a. Description of the company
Prepare a brief description of the selected company (when they started, key milestones etc.), outlining
the core activities (major business, key products) competitive advantages, and the market in which it
operates (in which industry sector they are in ASZX, do they export their products and services or whether
they serve only the local market).
b. Analysis of company net working capital position
Based on balance sheet information and the notes to the financial statements,
 Analyse the working capital position of the company over minimum of past 2 years (composition
of current assets and current liabilities, changes in CA and CL, any significant decision about
working capital management etc.)
 Calculate the networking capital and give your opinion on the net working capital position of the
company.
c. Calculation of cost of equity of the firm
Based on the data of just paid dividend (D0), current share price (collect this information from the annual
report) and assumption that the company will maintain a constant dividend growth rate of 3% from now
on, calculate the cost of equity of your selected company, using constant dividend growth model.
d. Analysis of company liquidity and capital structure using liquidity and capital structure ratios
Using data from financial statements of your selected company, calculate the following ratios for past 4
years and present them using suitable charts. Discuss the implications of the identified trends for company
performance.
 Liquidity ratio (calculate minimum of 2 liquidity ratios over 4 years and analyse them using suitable
charts)
 Capital Structure ratio (calculate minimum of 2 capital structure ratios over 4 years and analyse them
using suitable charts)
3. Conclusion
Based on the analysis in section 2, provide brief conclusion on the company financial performance and
make a recommendation for prospective investors.
4. Reference
Follow the Holmes reference guideline and give your reference details
Note: You need to show all the calculation in an appendix
All the graphs and tables should be correctly label
Graphs should have clear information (legends, axis title etc.)
Page 5 of 7
HC2091 Business Finance
Marking criteria
Marking criteria Weighting
1 Introduction 2 mark
2 Description of the company including their core business activities 4 marks
3 Analysis of company net working capital position
Comparison of working capital position
Calculation of net working capital over the past 2 years
4 marks
4 Calculation of cost of equity of the firm
Identification of correct information on dividend and current share price from
firm’s annual reports
Calculation of cost of equity based on identified information and the given
growth rate
4 marks
5 Analysis of company liquidity and capital structure using liquidity and capital
structure ratios
Calculation of liquidity ratios and presenting them using suitable graphs
Analysis of company liquidity position based on the above calculation
Calculation of capital structure ratios and presenting them using suitable
graphs
Analysis of company capital structure based on the above calculation
4 marks
6 Suitable recommendation and conclusion which is based on the overall
analysis
4 marks
7 Presentation, structure and academic writing 3 marks
Total marks 25 marks
TOTAL Weight 25 %
Assessment Feedback to the Student:
Page 6 of 7
HC2091 Business Finance
Marking Rubric
Content
Excellent Very Good Good Satisfactory Unsatisfactory
(80%-full marks
given)
(70-79% marks
given) (61-69% marks given) (50-60% marks
given)
(0-49% marks
given)
Introduction Outstanding
introduction
addressing the
key purpose of
the assignment
and the
selection of the
company.
Very Good
introduction
addressing the
key purpose of
the assignment
and the
selection of the
company.
Good introduction
addressing the key
purpose of the
assignment and the
selection of the
company.
Satisfactory
introduction
addressing the
key purpose of
the assignment
and the
selection of the
company.
No reasonable
explanation on
the purpose of
the assignment
or the company
selection.
Description of
the Company
Outstanding
analysis of the
selected
company,
targeting their
core business
and competitive
advantages.
Very good
analysis of the
selected
company,
targeting their
core business
and competitive
advantages.
Good analysis of the
selected company
targeting their core
business and
competitive
advantages.
Satisfactory
analysis of the
selected
company
targeting their
core business
and competitive
advantages.
No sufficient
analysis on the
selected
company
targeting their
core business
and competitive
advantages.
Analysis of
company net
working capital
position
Outstanding
analysis of
company net
working capital
with accurate
calculation and
suitable charts.
Very good
analysis of
company net
working capital
with accurate
calculation and
suitable charts.
Good analysis of
company net working
capital with accurate
calculation and
suitable charts.
Satisfactory
analysis of
company net
working capital.
No relevant
calculation or
analysis of
company net
working capital
position.
Calculation of
cost of equity
of the firm
100% accurate
calculation of
company cost
of capital based
on relevant
information
from financial
statements and
the given
additional
information.
Correct
calculation of
company cost
of capital based
on relevant
information
from financial
statements and
the given
additional
information(but
there are minor
errors such as
calculation
errors.
Partially correct
calculation of
company cost of
capital based on
relevant information
from financial
statements and the
given additional
information(Informati
on gathered are not
correct and or given
additional
information are not
correctly used
Demonstrated
the
understanding
of cost of
capital
calculations,
but there are
key mistakes in
calculations.
Poor
understanding
on cost of
capital
calculations or
no calculations
shown in the
assignment
Page 7 of 7
HC2091 Business Finance
Analysis of
company
liquidity and
capital
structure
Outstanding
analysis of
company
liquidity
position and
capital
structure
position with
relevant ratios.
Demonstrated
in-depth
understanding
on importance
of liquidly
management
and capital
structure of a
firm.
Very good
analysis of
company
liquidity
position and
capital
structure
position with
relevant ratios.
Demonstrated
very good
understanding
on importance
of liquidly
management
and capital
structure of a
firm.
Good analysis of
company liquidity
position and capital
structure position
with relevant ratios.
Demonstrated good
understanding on
importance of liquidly
management and
capital structure of a
firm.
Satisfactory
analysis of
company
liquidity
position and
capital
structure
position with
relevant ratios.
Demonstrated
good
understanding
on importance
of liquidly
management
and capital
structure of a
firm.
Poor
understanding
of the analysis
of company
liquidity and
capital
structure. No
calculation
shown in the
assignment.
Conclusion
and
recommendati
on
Presenting a
wide ranges of
adequate
recommendatio
ns that
exemplarily
supported by
justification and
analysis;
Presenting very
sensible
recommendatio
ns that properly
supported by
justification and
analysis;
Presenting adequate
recommendations
that properly
supported by
justification and
analysis;
Demonstrating
limited
justification and
analysis of the
given
recommendatio
ns and
conclusions
Providing no
recommendatio
ns and
conclusion or
inadequate
recommendatio
ns for
investment
decisions;
Presentation,
structure and
academic
writing
Demonstrated a
high level of
understanding
and skills of
academic
writing by
means of
criticism, logical
argument, and
interpretation
of data and
information.
Demonstrated a
good
understanding
and skills of
academic
writing by
means of
criticism, logical
argument, and
interpretation
of data and
information.
Followed given
formatting
guidelines.
Demonstrated a
reasonable
understanding and
skills of academic
writing by means of
criticism, logical
argument, and
interpretation of data
and information.
Partially followed
given formatting
guidelines
Demonstrated
limited skills of
academic
writing in terms
of structure,
presentation,
wordings and
referencing.
No satisfactory
attention on
given
formatting
guidelines
Failing to meet
the
requirements of
academic
writing in terms
of structure,
presentation,
wordings and
referencing.
No attention on
given
formatting
guidelines